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Commission-based Comp Model Rebounding for Agencies
By: MediaPost
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After years of erosion, Madison Avenue’s original media commission-based compensation system is making a comeback, albeit marginally, according to just-released findings from the Association of National Advertisers latest “Trends In Agency Compensation” report.

The report, the 17th edition compiled by the ANA, shows that after bottoming out at a low of 3% of compensation models cited by respondents in 2010, media commissions has grown to the preferred model among 12% in 2016.

While that’s down from the majority of agency commission models cited when the ANA began tracking agency compensation models in the 1990s, it is on the upswing, while the fee-based systems that replaced it are beginning to erode -- falling from a high of 81% in 2013 to 68% in 2016.

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